Mike
07-01-2016, 10:04 AM
Yesterday, IBD posted a day-3 follow-through day. These are very rare, and the historical sample size is too little to create an absolute rule. If one created a rule, yesterday would have to be included. I can add that June/July FTDs rarely succeed. If we are in a bear market (don't know), there have been zero bear market FTDs leading to a successful rally without a confirming Coppock buy signal. We are nowhere close to a Coppock buy signal. So I go with the flow. I continue to hold GIMO and PLAY. I missed the move in REITs (COR, CONE), I believe REITs represent a play for dividends, and the yield desire is so great that the asset prices are being driven up.
I don't trust Chinese financial reporting, so I passed on the NTES breakout. NTES is one of the few stocks with fundamentals breaking out of a chart pattern. The handle of the cup and handle formation had too much volume for me. Very few quality stocks are breaking out of sound chart patterns.
I don't trust Chinese financial reporting, so I passed on the NTES breakout. NTES is one of the few stocks with fundamentals breaking out of a chart pattern. The handle of the cup and handle formation had too much volume for me. Very few quality stocks are breaking out of sound chart patterns.